Cold snap proves a comfort for Dignity

BRITAIN'S largest funeral services operator today felt the benefits of the recent cold snap after noting a marked increase in the death rate following last year's unexpected drop.

Chief executive Peter Hindley said death rates had risen sharply last week but he would have to wait until next week to see whether this week's even colder temperatures have had a further positive effect on business.

Delivering full-year profits ahead of market expectations, Hindley said he was ready to spend up to £80m on acquisitions in the funeral parlours and the crematoria industry.

Underlying pre-tax profits rose 31% to £22m thanks to 'good cost control and attention to service' Hindley said. This helped offset a national death rate 3.4% lower than Government expectations for the year, equivalent to around 20,000 fewer deaths for the whole country than expected.

'Those 20,000 will be caught up with eventually. Historically, one bad year for numbers of deaths tends to be followed by a good one.' Hindley was confident of good growth in 2005 with the national death toll expected to rise to around 580,000 from 574,400.

Dignity, known for helping the notorious Kray family with their send-offs, organised 67,000 ceremonies from its 512 funeral homes for the 53-week period to 31 December and 38,400 cremations from its 22 crematoria.